KUWAIT CITY, March 1, (Agencies): Prices of grains, dairy products and meat might rise due to the hike in prices of these products in the global markets, Alam-Alyawm daily quoted Minister of Commerce and In-dustry Ahmad Al-Haroun as saying.

He added that the ministry has been monitoring markets and cooperatives daily even during the holidays to prevent any unjustified hike in prices of commodities and combat exploitative practices. He said the violators will be referred to commercial prosecution.

The minister further denied reports about problems in the distribution of free ration supplies that were gifted by HH the Amir to all Kuwaitis, and mentioned that Bedouns and GCC nationals will get their ration supplies as usual.

There is coordination between the Ministry of Social Affairs and Labor and the Union of Consumer Cooperative Societies in all fields, he said, adding the cooperatives strive to provide goods at minimum prices to consumers.

Meanwhile, food prices around the world have rocketed ever higher since 1984, and will keep rising due to the drought of China’s wheat harvest this year, an economic report said on Tuesday.

The report, published in the latest issue of the Economist, noted that food prices have spiked in the past four years which led to an increase of poverty, forcing the G20 grouping of the world’s largest economies put “food security” top of its 2011 to-do list.

The report noted that there are temporary reasons for this hike up in prices such as drought in Russia and Argentina, floods in Canada and Pakistan and export bans by agricultural countries in order to maintain their own supplies.

These reasons led importers to “panic buying” to re-stock their grain reserves, hence, the unprecedented high jump of prices since 1984.

Some of the indirect reasons for this food crisis are the weak dollar and the surge of oil prices, it noted.
The report clarified that crops are strongly connected with oil prices because most of the fertilizers are made from oil extractions.

Some speculators blame the increased financial trading that might have led to the soreness of food prices.
One of the main solutions for this crisis is to liberate trades between import and export countries, lower taxations on food commodities and establish funds which aim at improving agricultural sectors in poor nations.
Another solution is to financially support scientific researches concerning increasing the productions of crops which would lead to more price stability worldwide in the future.

In another development, Sudan announced on Tuesday it would export 5, 000 heads of sheep to Kuwait through Al-Nuwaisib land port.

Head of the Sudanese agency tasked with securing and financing exports Ahmad Babakr told reporters that this shipment is just part of Sudan’s plan to enter the Kuwaiti market, which is one of the most important Arab markets for Sudan.

He added that the Kuwaiti market in particular and markets of the Gulf come as part of the business priorities of the Agency’s plan for the advancement of non-oil export, adding that a plan has been prepared for this purpose.